By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
IndebtaIndebta
  • Home
  • News
  • Banking
  • Credit Cards
  • Loans
  • Mortgage
  • Investing
  • Markets
    • Stocks
    • Commodities
    • Crypto
    • Forex
  • Videos
  • More
    • Finance
    • Dept Management
    • Small Business
Notification Show More
Aa
IndebtaIndebta
Aa
  • Banking
  • Credit Cards
  • Loans
  • Dept Management
  • Mortgage
  • Markets
  • Investing
  • Small Business
  • Videos
  • Home
  • News
  • Banking
  • Credit Cards
  • Loans
  • Mortgage
  • Investing
  • Markets
    • Stocks
    • Commodities
    • Crypto
    • Forex
  • Videos
  • More
    • Finance
    • Dept Management
    • Small Business
Follow US
Indebta > Investing > Scotland’s Latest Attempt To Kill Its Own Economy
Investing

Scotland’s Latest Attempt To Kill Its Own Economy

News Room
Last updated: 2023/05/28 at 11:40 AM
By News Room
Share
4 Min Read
SHARE

Scotland’s latest bizarre economic policy is about to run headlong into common sense. The result with be a disaster for Edinburgh’s famed International Festival due to kick off as usual this August.

Contents
Restrictive Regulations on AirBnB-like Rentals$42,000 a Month: A Rent For BillionairesPolicy Backfire

Before the pandemic, the festival sold a little more than 3 million tickets in 2019 and pulled in an estimated 450,000 visitors to Scotland’s capital city.

The pandemic meant there was no festival in 2020 and in 2019, when it resumed, ticket sales sank by almost third to 2.2 million.

But so much for the rebound, this year is likely to see another drop because of a strange and self-defeating housing regulation that got passed in passed in 2o22..

Restrictive Regulations on AirBnB-like Rentals

Now anyone in Scotland, including the approximately half million Edinburgh residents, will now need to get a license to rent out their homes to tourists even on a temporary basis. Website Hostaway explains as follows:

  • “All short-term rentals in Scotland will be required to have a license, unless specifically excluded. It is a legal requirement to obtain a new license, regardless of whether hosts occasionally sublet or let out a spare room for instance.”

Getting a license per se isn’t the problem. The reality is that apartments in tenement buildings with shared stairs ways are unlikely to get approval, experts say.

That’s a major issue for would-be tourists is that most of central Edinburgh housing is primarily made up of tenements, meaning that what was once a mainstay for the August tourist trade will now not be available.

$42,000 a Month: A Rent For Billionaires

The result is a shortage of festival accommodation, something which is already becoming a nightmare as the supply of places to stay has shrunk and rental rates have skyrocketed. Rents for a month are reaching as much as £34,000 ($42,000) a month for August.

Policy Backfire

It gets worse. The rules were allegedly designed to help Scotland’s chronic housing shortage. But what it has done in reality is to favor the well heeled home owner over those less blessed.

For instance, it seems highly likely that people who own town houses — largely the well-heeled — will be able to rent out their flats. They will also get the benefits of extra income, at the new higher rental rates.

Meanwhile, people in tenements — who don’t tend to be as financially flush as townhome owners — may see a shortfall in their income. That’s particularly sad because many such tenement dwellers regularly relied on a few thousand pounds AirBnB Festival income to cover their annual mortgage.

The only possible good news coming out of this economically insane rule is that the economic hardship will be widespread and likely lead to the ouster of the Scottish National Party along with its self-defeating policies.

Read the full article here

News Room May 28, 2023 May 28, 2023
Share this Article
Facebook Twitter Copy Link Print
Leave a comment Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Finance Weekly Newsletter

Join now for the latest news, tips, and analysis about personal finance, credit cards, dept management, and many more from our experts.
Join Now
How one of the gravest security lapses in history was kept secret

It was a lawsuit unlike any other. On August 25, 2023, just…

BlackRock inflows hit after big client withdraws $52bn

Unlock the Editor’s Digest for freeRoula Khalaf, Editor of the FT, selects…

Trump is flunking his Epstein test

Unlock the White House Watch newsletter for freeYour guide to what Trump’s…

US inflation reaches 2.7% as Trump tariffs hit

Unlock the White House Watch newsletter for freeYour guide to what Trump’s…

The British state’s battle to contain the fallout from catastrophic Afghan data leak

Rarely has an email created such danger — or carried so high…

- Advertisement -
Ad imageAd image

You Might Also Like

Investing

Nursing Home Stocks Could Suffer from this Medicaid Spending Remedy

By News Room
Investing

Bitcoin Drops Below $90,000 Again. What Could Move It Next.

By News Room
Investing

These Stocks Are Moving the Most Today: Marvell, Nvidia, Broadcom, GM, Tesla, MongoDB, Burlington, and More

By News Room
Investing

Nvidia Stock Falls as Marvell Earnings Compound AI Gloom. The Rising Risks for Chips.

By News Room
Investing

This analyst says Tesla deliveries will be 16% below expectations. Musk is part of the problem.

By News Room
Investing

BP CEO was awarded no bonus pay from oil giant’s financial performance

By News Room
Investing

Shares of Starlink’s European competitor have tripled. CEO says it can do the job in Ukraine.

By News Room
Investing

GE Vernova Stock Rises as Analyst Flips to Upgrade After Rating Cut

By News Room
Facebook Twitter Pinterest Youtube Instagram
Company
  • Privacy Policy
  • Terms & Conditions
  • Press Release
  • Contact
  • Advertisement
More Info
  • Newsletter
  • Market Data
  • Credit Cards
  • Videos

Sign Up For Free

Subscribe to our newsletter and don't miss out on our programs, webinars and trainings.

I have read and agree to the terms & conditions
Join Community

2023 © Indepta.com. All Rights Reserved.

Welcome Back!

Sign in to your account

Lost your password?